Sunday, March 16, 2008

Purpose of stock take is to verify the existence of the inventory accounted by the company. Procedures in stock take:

1. Obtain stock listing as at balance sheet date from client.2. Randomly select certain number of samples from stock listing to physically count the inventory to check that the inventory listing ( as prepared by client) has no material difference.3. Randomly select certain number of samples from the floor ( and test count the number of the items) to check that the stock listing is complete.4. Make any adjustment if necessary.

3 comments:

Anonymous
said...

"For stock-take test count samples - select from the floor and from the list."If company YE 31.12.08 and stock-take was conducted on the 12.01.09.Is our stock count agree to stock listing as at 31.12.08 or 12.01.09?Also, is it necessary ask for 12.01.09 stock listing from client?

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